PRESS: Draft on long-term savings of Russians ready

MOSCOW, Apr 24 (PRIME) -- The Finance Ministry and the central bank have sent a bill on long-term personal savings to the government to be considered on Monday as Russians’ demand for long-term savings dwindles, newswire RBC reported citing the draft.

"State support of long-term savings will be provided for three years starting from the year following a savings payment by a person under a long-term savings agreement," the document read.

The government will provide a tax refund of up to 52,000 rubles, if the annual savings amount to up to 400,000 rubles, and can make a co-payment of 108,000 rubles, if a person’s contribution amounts to at least 2 million rubles.

The government will insure 2.8 million rubles of savings that include earlier pension savings. Spending of the savings will be allowed before retirement in case of extreme life circumstances.

The private pension funds participating in the program will receive a 0.6% reward on an average sum of savings and up to 15% of the investment yield.

(81.4863 rubles – U.S. $1)

End